upGrad trims losses sharply in FY25 even as revenue growth slows

Consolidated revenue increased by 5.5% ₹1,569.3 crore in FY25 ₹1,487.6 crore in FY24 was seen in upGrad’s filing with the Registrar of Companies (RoC). This improvement was driven by a sharp decline in expenses as the company prioritized profitability ahead of its goal of listing on public markets in mid-2026.

Net loss decreased by 51% ₹273.7 crore, compared to ₹559.9 crore in FY24. upGrad also calculates consolidated operating loss (EBITDA) ₹65.4 crore in FY25, down nearly 81%. ₹344 crore in the previous year.

But in an email reply MintScrewvala said upGrad has included other revenues in Ebitda under Ind-AS norms and the company has already become operationally profitable.

This comes at a time when the Ronnie Screwvala-led company is actively pursuing major acquisitions in the test prep and K-12 space. Edtech has submitted an expression of interest to acquire Byju’s parent company Think & Learn. Economic Times It was reported on November 14. This came later money control reported that upGrad is in talks to acquire Unacademy in a share swap deal worth $300-400 million.

In FY25, the company went through major leadership changes with Mayank Kumar leaving his post as the company’s managing director to start his own venture. The company also raised $60 million in series C funding from Temasek. Total funding for the round approached $329 million, including other investors such as EvolutionX, IFC, and 360 One.

Total consolidated expenses decreased 8% ₹1,942.6 crore in FY25 (since inception ₹2,112.3 crore in FY24), while the biggest decrease came from ‘other expenses’. ₹1,088.8 crore – ₹930.2 crore.

Employee costs, traditionally the industry’s largest cost center, also declined in 2019 ₹703.7 crore onwards ₹741.3 crore a year ago.

On a standalone basis, the company reported 5.6% revenue growth; ₹1,074.5 crore, compared to ₹1,018 crore in FY24. Net loss alone narrowed ₹333.2 crore, from ₹473.5 crore last year.

Despite the progress, financing costs continued to put pressure on profitability. Interest expenses increased ₹127.2 crore (in return for) on a consolidated basis ₹86.2 crore in FY24).

However, the company said the higher interest expenses were due to lease-related Ind-AS inflows and not due to increased borrowing. “From that ₹127 crore interest cost in FY25, ₹69 crore is related to lease accounting, hence real financial interest cost ₹58 crore,” said Venkatesh Tarakkad, chief financial officer.

Demand for online learning has fallen as schools reopen in 2022 after the Covid pandemic subsides, causing investors to withdraw capital and triggering an extension of the financing winter. Once-dominant edtech companies have since struggled with plummeting valuations and implemented mass layoffs; Many small enterprises were closed. However, the sector showed first signs of recovery in 2025 as investors turned to AI-driven personalization, hybrid learning models and profitable growth.